Logistics Locations: Moving At The Speed Of Business

Through ports, rail, roadways, and airports, the ideal location enables companies to transport goods and access supplies quickly.

Kentucky’s logistics prowess has attracted companies like UPS and FedEx, and each has a significant presence in the state. UPS houses both the planet’s largest automated package-handling facility, UPS Worldport, and its Centennial ground hub in Louisville. FedEx operates several large ground hubs throughout the state.

Distribution- and logistics-related companies benefit from the state’s second-to-none geographic location. Kentucky sits at the center of a 34-state distribution area, and its borders lie within a day’s drive of more than two-thirds of the nation’s population, personal income, and manufacturing operations. This ideal geographic location puts Kentucky at the confluence of the Northeast, Midwest, and South, giving it proximity to key populations and centers of international commerce. This is a fundamental reason why the logistics and distribution industry has concentrated in the commonwealth. The state’s stable, predictable climate, including mild winters, and the establishment of the Southern Automotive Corridor in the past four decades, each contribute as well.

Additionally, Kentucky’s three air cargo hubs—the aforementioned UPS Worldport, DHL, and Amazon Air—have positioned Kentucky among the national leaders in air-cargo shipment volume. This strong presence by the world’s most prestigious logistics companies means products manufactured in Kentucky can get virtually anywhere in the world overnight.

Twenty interstates and controlled-access parkways provide companies with quick and efficient highway transport. With 2,600 rail miles, Kentucky is a main-line center for CSX, Canadian National, and Norfolk Southern, as well as for regional and local networks of short line railroads and intermodal freight facilities. Kentucky boasts 2,300 miles of Class I rail in state as well as 1,900-plus miles of navigable waterways that provide cost-effective shipping of bulk goods.

Logistics Locations
FedEx has multiple facilities in Kentucky, including a distribution station in Paducah, a freight operation in London, and a 500-employee ground packaging center in Northern Kentucky. (Photos: Kentucky Cabinet for Economic Development)

Since the start of the administration of Governor Andy Beshear, companies within the logistics sector have announced over 5,800 full-time, Kentucky-resident jobs across more than 90 facility expansion and new location projects, with $632 million in private sector investment in the Commonwealth.

Initially spurred by Kentucky’s growing manufacturing base, the sector in the past 20 years was supercharged by an ever-increasing tide of online ordering, warehouse fulfillment, and rapid shipment to homes. The logistics and distribution industry has grown over the past three decades into a pillar of Kentucky’s economy—and the future looks even brighter for one of the state’s key industries.

Oswego County, New York: Logistics Is Big Business

Oswego County, NY, is a truly multi-modal location, with access to ground, rail, air, and water transportation for shipment of goods. A great location and a host of transportation options place Oswego County at the top of the list for logistics site selectors.

Oswego County has convenient access to Interstates 81 and 90, which provide north/south and east/west movement through the state. Situated in Upstate New York, it is located centrally to New York City, Boston, Philadelphia, Cleveland, Toronto, and Montreal. This places Oswego County within six hours of every major northeast market.

Oswego County
At the Port of Oswego, NY, grain is being unloaded for storage. (Photos: Operation Oswego County, Inc.)

CSX offers daily rail transportation to Oswego County, with direct access at several sites and industrial parks. With a nearby rail yard and in-land port, CSX provides rail access to 23 states and the Canadian provinces of Ontario and Quebec, including several ocean, lake, and river ports. Coupled with nationwide transloading and warehousing, CSX makes rail a very viable transportation asset for Oswego County businesses.

Syracuse’s Hancock International Airport is within 30 minutes of Oswego County. In addition to worldwide passenger transport, Hancock has facilities for air freight transport, including a 53,000-square-foot cargo building.

The Port of Oswego Authority is a deepwater port on the shores of Lake Ontario. As a hub and the first port-of-call in the Great Lakes St. Lawrence Seaway System, it is part of over 2,300 miles of water transportation from Duluth, MN to the Atlantic Ocean.

The Port of Oswego provides on-dock rail and truck loading, making for a smooth transition of goods to market. The Port also owns a 365-ton portable crane, one of the largest on the Great Lakes, suitable for large lift projects. The Port’s just-in-time storage capabilities provide additional flexibility to delivery schedules.

Oswego County is one of four contiguous counties that comprise Foreign Trade Zone #90, with U.S. Customs Ports of Entry at Hancock International Airport and the Port of Oswego. The benefits of locating within FTZ #90 could include reduction of duties on materials and finished goods being imported and exported within the zone.

Logistics Locations
Shown here is Oswego County Industrial Park in Schroeppel, NY. (Photos: Operation Oswego County, Inc.)

Oswego County has greenfield sites available that are ready to build on, including 480 acres within the county’s industrial parks. Most sites have utilities and other necessary infrastructure in place, and select sites within the industrial parks have had comprehensive site profiles performed. These profiles expedite the selection process by eliminating much of the due diligence work for the potential purchaser and several sites are also considered “shovel ready.” Multiple greenfield sites have excellent access to the highway system.

The combination of various forms of transportation with warehousing capabilities and specialized material handling equipment supports Oswego County’s stance as a true multi-modal location. Continued expansion of multi-national companies, such as Novelis, Huhtamaki, EJ Company, Fulton Companies, and HealthWay, provides additional opportunities for logistics providers.

Port Of Virginia: Positioned For Success

The Port of Virginia is currently expanding at a rapid pace due to continued growth in trade through the port and a $1.4 billion Gateway Investment Program underway through the end of the decade. New state-of-the-art infrastructure and technology combined with The Virginia Model is reshaping North America supply chains.